term sheet, page-3

My last post for the day.
OK - stop cheering!!!!

Philex the problem is we need all the cash we have and can get. The company sunk $8(?) million into the purchase price of the Unifil line (correct me if I'm wrong). They stated that they would be doing leasing for prod mines.

So by taking out a leasing agreement of $12M - the company has been able to free $8M of the cost and bring it back into cash. Think of it as redrawing some of your home loan.

In future 150M prod lines will cost approx $42m and they intend to lease about 65% of it. Otherwise they would be doing cap raisings. He's happy to have some more money - the way we burn it, we need it.

That is my take - as usual stand to be corrected. Hope it helps. zzzzzzzzzzzzzzzzzzzzzzzzzz